微观经济学1516.docVIP

15 INDUSTRY SUPPLY Short-Run Industry Supply An industry with a fixed number of firms, n. Si(p): the supply curve of firm i, The industry supply curve, (market supply curve) P y Industry Equilibrium in the Short Run The intersection of market supply curve with the market demand curve gives an equilibrium price, p*. Firm choose his quantity of production by p* = SMC(y) A firm with p*=AC(y) has zero profits py－c(y) = 0 p p p* y